The Broad Principle That Requires Expenses to Be Reported in the Same

question 115

Multiple Choice

The broad principle that requires expenses to be reported in the same period as the revenues that were earned as a result of the expenses is the:

• A) Recognition principle.
• B) Cost principle.
• C) Cash basis of accounting.
• D) Matching principle.
• E) Time period principle.

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Definitions:

TRICARE

TRICARE is a health care program of the United States Department of Defense Military Health System providing health benefits to military personnel, retirees, and their dependents.

Health Insurance Plan

An insurance that covers the whole or a part of the risk of a person incurring medical expenses, spreading the risk over a large number of persons.

TRICARE for Life

A healthcare program for U.S. military retirees and their dependents, providing Medicare-wraparound coverage.

Medicare

Medicare is a federal health insurance program in the United States for people aged 65 and older, as well as for some younger people with disabilities.